The engineering, procurement, and construction (EPC) contract follows a provisional award announced in August this year.
The contract is worth over $300m, of which Petrofac ’s share is more than $200m.
Works at the project site in Alrar include the construction of a central processing facility equipped with inlet separation and decarbonisation units.
The scope of the contract also includes tie-ins to the existing Alrar separation and boosting facilities. Commissioning and performance testing are also part of the deal.
Once ready, the project is expected to increase the production of natural gas and cut CO₂ risk from the field’s gas reserves.
Petrofac and Sonatrach’s Algerian Petroleum Institute (IAP) also signed a memorandum of understanding (MOU ) to upgrade training schools, provide competence management solutions for local engineers, and build more facilities.
The partnership seeks to strengthen the ‘local capability in support of Algeria’s nationalisation objectives’.
The MoU also requires the partners to launch e-learning resources and introduce operations and maintenance training programmes for the benefit of local and regional markets.
Petrofac Algeria country manager Manish Bhojwani said: “Petrofac has deep roots in Algeria, supporting the development of critical energy infrastructure and training the workforce of tomorrow.
“Our partnership with IAP will enable us to share our knowledge and expertise across the local supply chain as it seeks to develop its capability and capacity.
“I look forward to seeing this in action through our delivery of Tinrhert EPC2 with GCB and Petrofac’s participation in other future developments in Algeria.”